10. Sammies Rescue Dogs, Inc. has Net Revenues of $1,500,000 and an EBIT of $800,000. If the firms Degree of Financial Leverage is 1.09 what will the percentage change be for the firms Net Income or EPS if EBIT increases by 5% and the firm remains in the 21% tax bracket?

A: 5.45%

B: 4.31%

C: 1.14%

D: Cannot be computed

E: None of the answers provided is correct.